Manig said many German companies are keen on seaport development, railway modernization and automobile engineering in the Southeast Asian nation.

Lufthansa Technik and Vietnam Airlines Engineering Company (VAECO), an arm of Vietnam Airlines Corporation, are discussing cooperation in aircraft maintenance, he added.

The deputy ambassador said he hopes the Transport Ministry will support Lufthansa Technik in establishing an aircraft maintenance facility.

A Lufthansa Technik representative said the company has already established a joint venture company that has an aircraft maintenance branch in the Philippines. It wants to set up a unit in Vietnam to maintain narrow-body aircraft in the short run.

The Vietnamese aviation sector has expanded at an average rate of 15% for the past 10 years, said Deputy Minister Tho, adding the International Civil Aviation Organization and the International Air Transport Association have regarded the local aviation transport market as one of the region’s leading growth markets.

He pledged his ministry will create favorable conditions for Lufthansa Technik and VAECO to cooperate.

The deputy ambassador proposed the ministry assist German firms in coping with hindrances brought by the Vietnamese Government’s Decree 116/2017 on auto manufacture, assembly, import, maintenance and warranty services.

Deputy Minister Tho said the Government and his ministry have provided detailed guidance on the implementation of the decree for foreign companies. The ministry has set up a team to directly meet with companies that import and export autos.